Harbor Custom Development Inc. (NASDAQ:HCDI) has reported record fourth-quarter and full-year 2021 earnings as its distinct business model gains momentum.
The real estate developer grew consolidated net sales to approximately $26.3 million in the three months to December 31, 2021, up from $24.3 million in 4Q 2020. Its gross margin improved to 41.2% from 1.5%, resulting in net income of about $5.6 million compared to a net loss of $1.9 million a year earlier.
Full-year fiscal 2021 revenue rose to $72.4 million compared to $50.4 million in 2020 at a gross margin of 30.3%, up from 4%. Net income improved to $8.9 million from a $3.8 million loss in 2020.
READ: Harbor Custom Development enters into preliminary commitment with Washington Federal Bank for $29,750,000 construction loan
"We are extremely pleased with our performance during the fourth quarter and full-year ended December 31, 2021,” the company’s president and CEO Sterling Griffin said in a statement.
“We remain focused on long-term value creation and continue to take full advantage of our distinct business model to monetize our real estate assets at the most opportune time. We are confident that momentum from the fourth quarter provides a strong platform for us to reach our financial targets in 2022.” Harbor said it will host a conference call on March 24, 2022, at 9:30 am Pacific Time to elaborate on the fourth-quarter results and the company's outlook. The public may access the conference call through a live audio webcast by clicking here.
Harbor Custom Development is a real estate development company involved in all aspects of the land development cycle, including land acquisition, entitlements, construction of project infrastructure, home building, marketing, sales, and management of various residential projects in Western Washington's Puget Sound region; Sacramento, California; Austin, Texas; and Punta Gorda, Florida.
As a land developer and builder of apartments, condominiums, single-family homes and luxury homes, Harbor Custom Development's business strategy is to acquire and develop land strategically based on an understanding of population growth patterns, entitlement restrictions, infrastructure development, and geo-economic forces.
Contact the author at stephen.gunnion@proactiveinvestors.com